Varroc Engineering Limited — Important, 22-08-2025: Disclosure of material issue

Varroc Engineering has issued Commercial Paper (CP) worth ₹50 Crore, a short-term debt instrument with a 90-day tenure and a 6.90% discount rate. This CP was allotted to Kotak Mahindra Bank Limited and will be redeemed on November 20, 2025. The company is currently awaiting listing approval for these CPs on the National Stock Exchange.

**The Issue:** Companies issue CPs to manage short-term liquidity and working capital needs, often as a cost-effective way to secure immediate funds.

**Possible Impact:** This issuance provides Varroc Engineering with ₹50 Crore in short-term funding, which can be crucial for operational efficiency or to bridge temporary cash flow requirements. It's a routine financing activity that impacts the company's short-term debt obligations.

**Company's Response:** Issuing the Commercial Paper is the company's approach to fulfilling its immediate short-term funding requirements.